Key facts
- The US and Iran have signed a 14-point Memorandum of Understanding (MOU) to end hostilities.
- The MOU includes reopening the Strait of Hormuz.
- A 60-day negotiation period for a final agreement is established.
- The US committed to unfreezing Iranian funds and ending naval blockades.
- Iranian oil tankers and a corn ship have passed a US naval blockade.
- The deal was mediated by Pakistan.
- The agreement's text is being circulated by the US for consultation.
- Negotiations on Iran's nuclear program are the next step.
- The US and Iran signed an interim peace deal electronically on Wednesday.
- Iran claims the US has agreed to lift all sanctions on the country.
- Iran and Russia signed a non-interference pact.
- Iran will purchase 20 helicopters from Russia.
The United States and Iran have signed a 14-point Memorandum of Understanding (MOU) to end hostilities and reopen the Strait of Hormuz, initiating a 60-day negotiation period for a final agreement. This interim deal, confirmed electronically by officials from both nations on Wednesday, includes provisions for the US to unfreeze Iranian funds and end naval blockades. Consequently, Iranian oil tankers carrying millions of barrels of crude oil and a corn ship bound for Iran have passed a US naval blockade in the Strait of Hormuz.
The agreement, mediated by Pakistan, aims to end the conflict that closed the vital shipping lane and sets the stage for negotiations on sanctions and Iran's nuclear program. President Trump signed the memorandum intended to end the war with Iran, which he hailed as a win, though critics question concessions made by Tehran amid significant war costs. The deal's effectiveness hinges on future adherence to its terms. The US is circulating the agreement's text for consultation, with the next step involving negotiations on Iran's nuclear program, where Saudi Arabia's Foreign Minister stressed the crucial role of verification mechanisms.
Despite the preliminary agreement, which has led to market surges and a drop in oil and gas prices, the energy crisis is not considered resolved. Tanker firms remain hesitant about transiting the Strait of Hormuz, awaiting concrete safety guarantees before resuming full passage. Germany stated it will only consider joining a mission to secure the Strait after the US-Iran peace agreement's details are publicly released. The reopening of the strait does not guarantee a swift return of oil and gas flows. Iran's President Masoud Pezeshkian stated the country would not accept humiliation and has learned to preserve its dignity, while Foreign Minister Abbas Araghchi believes a deal is achievable if diplomacy is prioritized. Iran also claims the US has agreed to lift all sanctions on the country within an agreed timetable.
Separately, Iran and Russia signed an MOU pledging non-interference in each other's internal affairs and Iran has signed an MOU to purchase 20 helicopters from Russia. The US-Iran preliminary deal opens a path to nuclear talks, but key issues remain, and the agreement falls short of preventing Iran from developing nuclear weapons. The US and Iran are also preparing for a potential 60-day interim peace deal extension to allow for talks toward a permanent truce.